SEC Issues Circular on the Commencement of Regulatory Fee on Fixed Income Transactions


Tuesday December 28, 2021 / 08:05 AM / by SEC/ Header Image Credit: medium

This circular is made pursuant to Section 13(u) of the Investments and Securities Act (ISA), 2007 and Schedule 1, Part D of the SEC Rules (Registration Fees, Minimum Capital Requirements, Securities and others) which empower the Securities and Exchange Commission (SEC) to levy, among others, fees on transactions relating to investments and securities business in Nigeria. 

Capital Market Operators (CMOs) and stakeholders generally are hereby notified that:

  1. A regulatory fee structure on secondary market transactions on Bonds will take effect from January 1, 2022.
  2. Secondary market transactions on Bonds shall include bond transactions executed on a Securities Exchange (Exchange), reported by voice or by any other means to an Exchange as having being transacted thereon or of which the information of the transaction details are featured on the Exchange's platform for purposes including but not limited to onward transmission to a Depository for settlement, price discovery and corporate disclosure.
  3. By this fee structure, the SEC will charge 0.025% of the total value of all secondary market transactions on Bonds, while the Securities Exchange on which the transaction occurs will charge an amount not exceeding 0.025% of the total value of secondary market transactions on Bonds.
  4. Bond transactions by Dealing Members will attract a single regulatory fee of 0.0001% of the total value of the secondary market transactions on Bonds, and are exempt from the 0.025% fee charge earlier stated.

This circular supersedes previous directives given by the Commission on this subject.

Proshare Nigeria Pvt. Ltd.

Related News

  1. NSE Enhances Its Fixed Income Securities Market Segment and Revises Its Trading Fee
  2. NSE to Re-Introduce Trading Fees for Securities Traded on the Fixed Income Market
  3. NSE Strengthens Investor Protection With Upgrade of X-Whistle
  4. SEC Holds 1st CMC Meeting in Year 2020
  5. NSE Proposes Rules on Outsourcing of Functions and Shared Services, Fintech Collaborations
  6. We are Committed to Capital Market Growth - Lawmaker
  7. SEC DG Says Automation of Processes Key to Efficiency
  8. SEC Working to Attract More Investors - Yuguda
  9. NSE Notifies of the Effective Date of Rules on Release Calendar for Regulatory Announcements
  10. SEC to Continue Implementation of Capital Market Master Plan
  11. NSE Upgrades X-Issuer to Further Enhance Market Integrity
  12. SEC Proposes New Rules on CIS and Sundry Amendments For Exposure


 Proshare Nigeria Pvt. Ltd.

Related News